Proprietary Estoppel: Quantifying An Interest

In May 2014 I wrote a blog about the dairy farming case of Davies v Davies [2014] EWCA Civ 568 (click here to view). Almost exactly 2 years later, the Court of Appeal judgment quantifying Eirian's claim has been published.

The essence of the doctrine of proprietary estoppel is to do what is necessary to avoid an unconscionable result. The judge at first instance found that the appropriate equitable relief would be a financial award to Eirian from her parents, rather than a transfer of property, licence to occupy or interest in the farming business. Whilst neither party questioned that decision, Mr and Mrs Davies appealed the amount. They had offered their daughter £350,000, but the judge decided that they should pay £1.3m. The Court of Appeal ruled that the award was too high, and instead ordered them to pay £500,000.